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what is repo rate?
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Answer Posted / gaurav jain
repo rate is a tool used by RBI to curb inflation.
Repo rate means the interest rate that RBI charges for
lending money to other banks against their securities.In
this case RBI is the lender & Other banks are the
borrower.If RBI increases the repo rate it means that the
other banks have to pay more interest to borrow money from
RBI.
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